Use the Information for the Question(s)below

question 17

Multiple Choice

Use the information for the question(s) below.
The Sisyphean Corporation is considering investing in a new cane manufacturing machine that has an estimated life of three years. The cost of the machine is $30 000 and the machine will be depreciated by the straight-line method over its three-year life to a residual value of $0.
The cane manufacturing machine will result in sales of 2 000 canes in year 1. Sales are estimated to grow by 10% per year for each of the three years. The price per cane that Sisyphean will charge its customers is $18 each and is to remain constant. The canes have a cost per unit to manufacture of $9 each.
Installation of the machine and the resulting increase in manufacturing capacity will require an increase in various net working capital accounts. It is estimated that the Sisyphean Corporation needs to hold 2% of its annual sales in cash, 4% of its annual sales in accounts receivable, 9% of its annual sales in inventory, and 5% of its annual sales in accounts payable. The firm is in the 30% tax bracket and has a cost of capital of 10%.
-The depreciation tax shield for the Sisyphean Corporation's project in the first year is closest to:

• A)$2 800
• B)$8 000
• C)$3 000
• D)$5 200

Describe how sustainability can be integrated into the strategic priorities of an organization's balanced scorecard.

Understand the classification of environmental costs as defined by the United States Environmental Protection Agency.

Appreciate the difficulty in quantifying intangible benefits of sustainability efforts.

Define stakeholders and explain their role and influence in sustainability.

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Definitions:

Physical Change

An alteration in which the form or appearance of matter is changed, but not its composition.

School Assessment

The evaluation process used in educational settings to measure students' knowledge, skills, and achievements.

Plotting

The act of marking or mapping out points, often used in data analysis to visually display trends or distributions.

Psychological Needs

Fundamental requirements pertaining to mental well-being, including feeling loved, secure, and a sense of belonging and self-esteem.